Netflix Earnings Report: Strong Revenue Overshadowed by Warner Bros Deal Revision
Netflix shares dipped despite posting better-than-expected Q4 earnings, with revenue hitting $12.05 billion against Wall Street's $11.96 billion forecast. EPS of $0.56 narrowly surpassed the $0.55 consensus. The streaming giant attributed engagement fluctuations to a 9% rise in original content viewing, offset by declines in licensed programming during the post-strike production lull.
Market attention now shifts to Netflix's revised Warner Bros. Discovery acquisition terms. The company scrapped its original $82.7 billion cash-and-stock offer in favor of an all-cash deal structure. This strategic pivot comes as the streaming wars intensify, with platforms battling for content supremacy amid shifting viewer preferences.